United Kingdom Retail Logistics - Which Innovations Will Be the Most Influential? August 2017

The growth of online retail is forecast to continue, reaching 20% of total retail sales by
2020. This will increase the demand for efficient fulfilment and lead to several interesting
innovations that will change the logistics industry

• We believe the five most influential innovations in the retail logistics industry will be:
o Predictive ordering – using the Internet of things to place orders on behalf of the
consumer

o 3D printing – printing products at industrial units and at home

o Your home as a store – retailers deliver a selection of items for you to peruse before
sending back what you don’t want e may see more demand for facilities in as yet
underutilised and remote areas

o Personal outsourcing – employing individuals to handle some of the tasks we currently
undertake ourselves

o Copying and ‘cherry picking’ innovation – emulating other businesses and their approach
to new ideas as opposed to developing as a standalone entity

• Deciding which technologies and innovations to adopt will be as important as being at the
forefront of research and development

• Implications for property:

o Logistics providers will be able to plan more efficiently and won’t need to be as focused
on being as close to the consumer as possible

o We may see more demand for facilities in as yet underutilised and remote areas

o As a result of improvements in 3D printing fulfilment will no longer just be seen as the
delivery of an item via traditional methods

o A small number of businesses will dictate the future of the logistics industry